December 03, 2008

Strangling the Kangaroo

You might not have heard of Kangaroo (its working title), but it’s basically a British iTunes for video, that was put together by the BBC, ITV and Channel 4. It would work online (like the iPlayer) and eventually through TV set-top-boxes.

Some of the programmes would be paid for by ad breaks, others would be pay-per-episode (like iTunes).

But the Competition Competition, in its infinite wisdom, has said it would restrict competition in the VoD (video-on-demand) market.

I’ve got the Microsoft-powered BT Vision which is pretty good, but has some flaws that Kangaroo would rectify. For instance, there isn’t the option to watch something free, but with adverts. I’d rather do that than pay my £14 a month subscription.

And surely the presence of services like BT Vision, Tiscali TV and the Sky Player all suggest competition is already healthy? What’s more, in the case of BT Vision, the Beeb, ITV and Channel 4 are all putting their shows on there, with no indication they’ll disappear when/if Kangaroo launches.

I guess Kangaroo’s problem is that it’s too close to the BBC, ITV and C4. If an independent had made it, and licenced programmes from the broadcasters, there wouldn’t be a problem. But we’re only a small country. There aren’t the billions of dollars available to make your own iTunes unless you’re established, and in all likelihood, a broadcaster.

BBC iPlayer took aeons to happen because of competition worries and the anti-innovation mindset at the BBC Trust. It’s still not as brilliant as it could be because of arbitrary limits placed on what it’s allowed to offer.

The likely delay, or perhaps cancellation of Kangaroo, is a massive shame and says something about this country today. Skippy probably wouldn’t mind pushing the Competition Commission down a mine-shaft. And I wouldn’t blame him.

P.S. As if proof were needed that Britain’s losing its innovators, the Project Kangaroo boss, Ashley Highfield, recently left… for Microsoft.